Zambia : Post-Privatization Study
The World Bank seeks to assess the effectiveness of the privatization program which was initiated in Zambia in 1992 with significant assistance from the World Bank and other donor agencies. A review of representative sample of companies was underta...
| Main Authors: | , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2003/12/19881491/zambia-post-privatization-study http://hdl.handle.net/10986/20225 |
| Summary: | The World Bank seeks to assess the
effectiveness of the privatization program which was
initiated in Zambia in 1992 with significant assistance from
the World Bank and other donor agencies. A review of
representative sample of companies was undertaken in order
to assess the effect of privatization on performance. The
twenty largest non-copper mining companies by purchase
price, the twenty by current assets at time of
privatization, and a remaining sample of smaller companies
were chosen for the study. The indicator most consistently
reported by companies was turnover. This indicator was
chosen as the most reliable available gauge for analysis of
performance. Typically smaller and less export-oriented -
the initial benefits of privatization have been difficult to
sustain, and performance has faltered after the initial two
years. Although recent performance has been better than in
the immediate pre-privatization period, turnover among most
companies has never recovered in real terms to early 1990
levels. Difficulty in sustaining the net benefits of
privatization can also be attributed to a suboptimal
domestic and regional environment for private sector growth.
Greater attention to these constraints within the domestic
and regional environment is warranted in future World Bank
assistance strategies, in order to enhance the benefits of
privatization and maximize new private sector growth. |
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